Position Limits and Large Open Position Reporting

According to Chapter 571Y "Securities and Futures (Contract Limits and Reporting Requirements for Open Positions)" of the rules, except for authorized persons, no person shall hold or control more futures contracts or stock options contracts than the prescribed upper limits. Article 6 of the rules stipulates that persons holding or controlling positions that require reporting must submit written notices to the recognized exchanges regarding the positions requiring reporting.

Webull, acting as an agent on behalf of its clients, submits notices of positions requiring reporting to the exchanges/regulatory authorities. If a client's combined open positions among multiple brokers reach the relevant reporting level, the client can authorize any one of the brokers to act as an agent and submit a unified report to the exchange or authorize each broker to separately report the positions to the exchange.

If a client holds open positions in "Holiday Trading Contracts" ("H Contracts") that exceed the reporting threshold for large open positions and directly submits a report of large open positions to the exchange (instead of through Webull), the client must follow the reporting procedures for large open positions in H Contracts. Please visit the following links for details on the "Position Limit and Reporting Requirements for Open Positions":

Hong Kong Exchanges and Clearing Limited - Large Open Positions and Position Limits

https://www.hkex.com.hk/Services/Trading/Derivatives/Overview/Trading-Mechanism/Large-Open-Positions-and-Position-Limits?sc_lang=en

Hong Kong Exchanges and Clearing Limited - New Reporting Procedures for Large Open Positions for Holiday Trading Derivatives

https://www.hkex.com.hk/-/media/HKEX-Market/Services/Circulars-and-Notices/Participant-and-Members-Circulars/HKFE/2022/Holiday-Trading-LOP-Circular_MSM-(Eng).pdf

Securities and Futures Commission - Guidance Note on Position Limits and Large Open Position Reporting Requirements

https://www.sfc.hk/-/media/EN/files/TC/components/codes/files-current/guidelines/guidance-note-on-position-limits-and-large-open-position-reporting-requirements/guidance-note-on-position-limits-and-large-open-position-reporting-requirements.pdf?rev=-1

For information regarding position limit reporting standards for futures and options contracts on the CME Group, please refer to the following link:

https://www.cmegroup.com/market-regulation/position-limits.html?global_content=%7B%22promote_id%22%3A13765%2C%22sub_promote_id%22%3A6%7D

For position limit reporting standards for futures and options contracts regulated by the U.S. Commodity Futures Trading Commission (CFTC), please visit the following link:

https://www.cftc.gov/strike-price?CommCode=&ContractName=&ExchangeName=&global_content=%7B%22promote_id%22%3A13765%2C%22sub_promote_id%22%3A6%7D